1. What is the formula for the price of a 50 yr coupon bond with...
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1. What is the formula for the price of a 50 yr coupon bond with 37 years left until maturity if the bond has a face value of $1000, an annual coupon rate of 10%, and a yield to maturity of 5%? (just the formula, do not calculate) 2. Assume a corporation issues a 10yr bond with 5% annual coupons and a face value of $1,000. The bond is not issued at par, rather it is issued at a price of $900. Over the course of the life of the bond what is the sum total of payments the corporation will have to make to the investor who bought this bond
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